XIRR Calculator
Calculate the extended internal rate of return for investments with irregular cash flows. Perfect for SIPs, mutual funds, and portfolios with multiple transactions.
Parameters
Results Summary
This calculator determines the results based on the following standard financial formula for XIRR Formula:
Variables Glossary
- XIRR
- Extended Internal Rate of Return (annualized)
- Total Investment
- Sum of all contributions made
- Final Value
- Current or maturity value of the investment
- Total Returns
- Profit or loss over the investment period
XIRR computes the annualized return rate that sets the net present value of all irregular cash flows (investments and redemptions) to zero. Unlike CAGR, it handles multiple cash flows at different dates.
What is XIRR and how is it different from CAGR?
XIRR (Extended Internal Rate of Return) calculates annualized returns for investments with multiple cash flows at irregular intervals. CAGR only works for a single lump sum investment. XIRR is ideal for SIPs, SWPs, and investments with additional contributions or partial withdrawals.
When should I use XIRR instead of CAGR?
Use XIRR when you make multiple investments or withdrawals at different times. For example, a monthly SIP with varying amounts, or a portfolio where you occasionally add or withdraw funds. CAGR is only accurate for a one-time investment held for a specific period.